The Perth-based company yesterday launched an initial public offering, saying the funds would be used to assess its portfolio of 14 geothermal licences, covering three separate areas, in the state.

“For the first time, we have been able to show the potential of these areas to produce viable temperatures at accessible depth and have confirmed their prospectivity through detailed thermal test work, heat flow estimation and temperature modelling,” chief executive Chris Matthews said.

“Most geothermal exploration in Australia to date has been conducted in remote areas, but Torrens’ licences are close to established electricity markets already experiencing supply pressures.”

Torrens said it had already completed work that has confirmed the prospectivity of its licence areas, while drill hole temperature data and rock thermal property measurements have also been completed and independently verified.

Matthews said as the political debate over global warming heats up, now was the time to invest in sustainable energy.

“There has been a resurgence in interest in clean alternatives in Australia, and the investing public is rushing in to get exposure in this new industry,” he said.

“Our view is that of the sustainable energy sources, such as solar, wind and waves, geothermal energy stands alone in its ability to offer large-scale, 24/7 baseload power with no fuel, no emissions, and no waste.

“It has also been assessed as being more cost-efficient, under a carbon levy system, than most traditional forms of fossil-fuel based energy production.”

The IPO involves the offer of 30 million shares at 20c each.

It closes on March 12 with the company expecting to list on the Australian Stock Exchange in late March.